With a childcare announcement expected imminently, early years is shaping up to be both a key battleground for the next election and a major coalition split. All agree on wanting to bring down prices for parents, while driving the quality and accessibility of childcare. So far so good. But since More Great Childcare was published at the start of the year, proposals have courted criticism, with experts questioning whether this reform package would actually jeopardise quality and push up costs.

In a high profile move last month, Nick Clegg stepped in to block the unpopular plan to relax child-to-adult ratios for the youngest, publically stating the evidence was “overwhelmingly against” the proposal. This might have caused tension in the coalition, but won praise from the profession.

And while the sector has been more supportive of the idea of creating new early years qualifications, in recent weeks the consultation on assessment criteria have provoked criticism by pushing aside “play” in education and care, despite the compelling evidence of its importance in child development.

The high and rising price of childcare also needs to tackled. The UK has some of the most expensive childcare in the world, and is rising rapidly. A typical couple with two children will spend more than a quarter of their net family income on childcare, making us the second most expensive country in the OECD.

After Clegg scrapped plans to relax ratios, the main proposal left aimed at cutting costs is the introduction of childminder agencies. The government believes that agencies could lower prices through efficiency savings and cutting inspection duplication. But IPPR’s research shows that the vast majority of childminders believe introducing agencies will do the opposite: 86 per cent of childminders thought agencies fees would bump their business costs, meaning extra costs could be passed onto parents.

Not very reassuringly, when the question of agency fees were raised in the House of Lords, the Minister was quoted saying she envisioned fees would be charged directly to parents.

As well as potentially increasing prices, childminders also believed proposals to cut individual inspection for those signed up to agencies, would be detrimental to the quality, safety and sustainability of early years care. Only 7 per cent supported government plans to cut regulation.

In light of the growing case against these reforms the government needs to reassess their path. Investment in the early years has the potential to play an immensely positive role in children’s development, as well as supporting parents seeking to combine work and care. But on quality, cost and sustainability the current outlook looks bad for the professionals, for children and for parents.

Clegg was right to take a stand on ratios and it is high time for another liberal intervention.

* Imogen Parker is a researcher at Institute for Public Policy Research